Strategy Shares Surge as Stock Slides on Dollar Reserve and Profit Update
Trading in Strategy (MSTR) shares surged Monday to the highest level since December 2024, even as the Nasdaq-listed stock fell after the company announced a new dollar reserve and revised full-year earnings guidance.
More than 42.9 million shares changed hands, according to TradingView, marking the firm’s busiest trading day in nearly a year. The stock declined 3.25%, closing at $171.42.
Strategy is the world’s largest publicly traded bitcoin treasury company, holding roughly 650,000 BTC, valued at around $56 billion. The firm began accumulating bitcoin in 2020 as a hedge against the dollar’s declining purchasing power, according to founder Michael Saylor. Since then, it has issued preferred stock to fund additional bitcoin purchases.
On Monday, Strategy announced a $1.44 billion dollar reserve to support dividend payments on its preferred stock and interest on outstanding debt. The company also updated its full-year profit forecast, projecting a net loss of $5.5 billion to net income of $6.3 billion, following a 30% drop in bitcoin from its October record high.
